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The Principal Amount of a Bond Is the Amount

Question 99

Multiple Choice

The principal amount of a bond is the amount


A) originally lent.
B) of interest agreed upon when the bond was originally issued.
C) paid to the bondholders on a regular basis.
D) of interest the bondholder is entitled to when the bond matures.
E) the bondholder receives even if the borrower defaults on the loan.

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